Connect with us

News

Sumanthiran questions rationale behind raising VAT to 18 % instead of raising withholding tax 

Published

on

Sumanthiran

By Saman Indrajith

TNA Parliamentarian M.A. Sumanthiran said yesterday that the government had agreed to provide copies of the Technical Assistance Reports compiled by the International Monetary Fund (IMF) to Opposition party leaders on request.

Sumanthiran, who was the only member of the Opposition to attend a multi-party discussion with the IMF, on the invitation of President Ranil Wickremesinghe, said that he had accepted the invitation extended by the President to Opposition party leaders.

“I raised some of our concerns. Firstly, the absence of transparency. The IMF provides Technical Assistance Reports to the government. These reports contain analysis on why these recommendations are made. They have so far not been made public. Today, it was agreed that copies would be provided to me and to other Opposition party leaders, too, on request,” Sumanthiran told The Island.

“With this we can see if these recommendations have an analytical basis or not. Upon studying the reports, we can say whether to support the IMF programme or not. We can see at the moment that the IMF programme is not beneficial to the poor of this country.” Sumanthiran said that he had questioned the rationale behind certain revenue-raising measures, such as the decision to increase the VAT to 18% instead of raising the withholding tax rate, which would have had a more immediate impact on revenue generation.

Sumanthiran said that he had highlighted the government’s failure to address 15 prior action items identified in the IMF programme, which were supposed to be completed by February 2024. In response, the government cited discussions with the IMF that resulted in time extensions for these actions,

The main Opposition SJB and the JVP/NPP boycotted the meeting.

Meanwhile in a statement, the President’s Media Division said that during the discussions, Secretary to the Treasury Mahinda Siriwardana had provided insights into the ongoing negotiations with bilateral creditors, commercial creditors, and ISBs, with an optimistic outlook towards completing the process by the end of June this year.

Central Bank Governor Dr. Nandalal Weersinghe highlighted the government’s efforts to adhere to the recommendations outlined in the Governor’s diagnostic report, emphasizing the commitment to a structured roadmap for implementation.

President Wickremesinghe affirmed the government’s willingness to make these technical assistance reports available to the members of Parliament and invited Sumanthiran and other Opposition members to attend a meeting and engage with the IMF to further discuss the proposals.

In response, Sumanthiran expressed his readiness to participate constructively in the dialogue, pledging support for constructive measures while highlighting areas that warrant attention and rectification.

Also present at the meeting with President Ranil Wickremesinghe were Prime Minister Dinesh Gunawardena, Leader of the House Susil Premajayantha, State Ministers of Finance Shehan Semasinghe and Ranjith Siyambalapitiya, Senior Advisor to the President on National Security and Chief of Presidential Staff Sagala Ratnayaka and Secretary to the President Saman Ekanayake, according to the PMD.



Continue Reading
Advertisement
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

News

Whistleblowers ask Treasury Chief to resign over theft of USD 2.5 mn

Published

on

Payment made to new account number outside agreement

Civil society group ‘Free Lawyers’, which exposed the payment of USD 2.5 mn loan instalment by the Treasury to a third party instead of Australia, yesterday (23) said that in spite of the Treasury having the legitimate bank account mentioned in the relevant agreement, the payment had been made to another account subsequently received from a person who had been in contact with some senior officials.

Civil society activist Keerthi Tennakoon on behalf of ‘Free Lawyers’ emphasised that the account number mentioned in the agreement couldn’t be changed without approval of the Secretary to the Treasury Harshana Suriyapperuma, who is also the Secretary to the Finance Ministry. Suriyapperuma, who quit his National List seat to receive the top appointment, should be held responsible for the unprecedented development, Tennakoon said.

If the Treasury had followed the time-tested procedures in place, a new bank account couldn’t have been introduced, and therefore a thorough investigation was required to reveal the truth.According to Free Lawyers, the scam had been detected by relatively junior officer and not those higher ups.

Free Lawyers’ would continue to follow the developments to ensure transparency in the investigations, Tennakoon said, noting that Suriyapperuma should step down as he was aware of a third party securing root access to the system in September 2025 but failed to take action to prevent the scam. Tennakoon said that the NPPer hadn’t informed relevant authorities, and altogether 16 officials were involved in the scam.

By Shamindra Ferdinando

Continue Reading

News

Hambantora port sets new record

Published

on

MSC Marie Leslie at Hambantota port

Hambantota International Port (HIP) successfully handled container vessel MSC Marie Leslie, marking one of its highest-volume vessel calls to date. The achievement further strengthens the port’s position as an emerging hub for containerised cargo in the region, according to HIP press release.

The vessel, operated by Mediterranean Shipping Company (MSC), was berthed at HIP from 11 to 15 April 2026. The port achieved 7,968 container moves during this period, translating to a total volume of 13,260 TEUs; the highest single-vessel throughput recorded by HIP to date.

This latest milestone surpasses previous records, including 12,957 TEUs handled on MSC Ilenia and 11,369 TEUs on MSC Ruby in March this year, reflecting a steady upward trend in the port’s container handling performance.

Continue Reading

News

US sinking of Iranian frigate off Sri Lanka unprecedented war crime Araghchi tells Vijitha

Published

on

Iranian Foreign Minister Abbas Araghchi has told his Sri Lankan counterpart Vijitha Herath that US sinking of Iranian frigate IRIS Dena off Sri Lankan waters was an unprecedented war crime.

Of some 180 crew only 30 odd personnel survived.

While referring to crimes committed by the United States and Israel against Iran, Araghchi has stressed that they would never forget this crime, which constitutes a grave violation of the fundamental rules of international humanitarian law and the 1949 Geneva Conventions, and would employ all legal and political means to hold the perpetrators and those responsible accountable and bring them to justice.

Araghchi has said so during a telephone conversation with Herath regarding the ongoing West Asia conflict and related developments.

During the phone call, Araghchi expressed appreciation for the Sri Lankan government’s efforts in the rescue operation for the sailors of the IRIS Dena and for assisting in the transfer of the bodies of the crew of the vessel and other Iranian naval personnel back to Iran, according to the Iranian Embassy in Sri Lanka.

US sank Dena as it along with two other Iranian vessels awaited Sri Lanka approval to enter the Colombo port. Iranian ambassador in Colombo Dr. Alireza Delkhosh is on record as having said that the Commander of Sri Lanka Navy invited the Iranian ships to visit Colombo following their participation in International Fleet review and Milan 2026 held in India in late Feb. All Iranian vessels had been unarmed at that time in keeping with protocols regarding the participation in such events.

Continue Reading

Trending